Users of Financial Statements

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Financial statements are used by both internal and external users to make economic decisions. The information within the financial statement aims to provide information about the financial position, performance and any changes in financial position of an enterprise.

Financial statements should be understandable, relevant, reliable and comparable. Reported assets, liabilities, equity, income and expenses are directly related to an organization 's financial position.

AstraZeneca is a global, innovative biopharmaceutical business whose mission is to make the most meaningful difference to the health of patients through great medicines and is focused on the discovery, development and commercialization of prescription
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As investors are providers of risk capital to the enterprise, the provision of financial statements that meet their needs will also meet most of the needs of other users. Financial statements do not provide all the information that users may need to make economic decisions since they largely portray the financial effects of past events and do not necessarily provide non-financial information.

Information on a financial statement should be accurate to assist in decision making because each user group information needs on the financial statement varies.
As a result, financial statements that make false projections about future earnings as well as the use of creative accounting to inflate earnings may hence mislead the investor as far as his investment decisions are concerned. With this in mind, the importance of accurate financial statements cannot be overstated as far as investment decisions are concerned.

Bankers usually use an entity’s financial statements for a wide range of reasons. Such as, for purposes of determining whether or not to lend capital to a company; be it working capital or otherwise. To underscore the importance of accuracy as far as financial statements are concerned, banks demands that businesses in need of loans avail financial statements which are audited and prepared in conformity with the GAAP provisions. Banks may then utilize such statements for analysis including the computation
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